About Equity Securities (Shares)

A share is a piece of ownership in a company. Buying shares in a company makes you a partial owner of that company. The more shares you buy, the bigger your ownership stake becomes and the more say you can have in how the company is run.

Along with ownership, a share gives you the right to have a say in how the company is run and vote at company general meetings - one vote for every share you own. However, one of the realities of the share market is that individual investors rarely get to own enough shares to be able to exert any significant influence over a company by themselves - that's usually for big institutional shareholders. Because of this, it is important to carefully research the competence of company management before you buy shares. The best measure of that may be the company's ability to consistently produce profits over time.

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Click here to see the current NZX 50 securities.
Note: there may be differences between the NZX 50 and the securities available on NZX virtualTrading.